PGQ - May 2022 Flipbook PDF
PGQ - May 2022
FLIP PDF 1.27MB
MAY 2022 Q2 Edition
POINT GREY GOLF & COUNTRY CLUB
As previously communicated in PGQ1, the Board led long range planning process has been underway for a number of months. This week, members are being provided with a report on the State of the Club that sets out the state of the Club’s primary assets and services, and considerations we should all be aware of. At a scheduled Town Hall meeting on May 31 at 6:00pm we will spend approximately one hour on the State of the Club and the balance of the meeting will be dedicated to providing members with information about tree management at Point Grey. As the trees on our property age, and we deal with the impacts of climate change, we will update members on why certain work is necessary, how we balance tree and turf priorities, and we look forward to hearing member views on these important matters. Please take a moment to let us know if you will be attending the May 31 Town Hall meeting by clicking here. The next phase of planning is underway, and the Board intends to release a report on Priorities and Alternatives in September of this year. This will be followed by extensive member consultation in the form of Town Halls, round tables, and a member survey. As outlined in the State of the Club report please do not hesitate to contact us with any questions you may have. Sincerely, Scott Wilson, President Adam Zubek, GM/COO
INSIDE State of the Club
Report on the Club’s Primary Assets & Services Click on the image above and take a few minutes to review this robust document as prepared by the Long Range Planning Committee and Board of Directors. We encourage your feedback at the upcoming Town Hall on Tuesday, May 31 at 6:00pm. Let us know if you will be attending the Town Hall on May 31st by clicking below:
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FINANCE The Club’s financial results are split between: i.
Operations – services provided to members and funded by member dues (excluding the capital dues) and activity-specific revenue; and
Capital – projects and sustaining capital expenditures funded by member capital dues, entrance fees, and bank borrowing.
The year-to-date results are shown in the tables below, accompanied by performance indicators in color (see legend below). The performance indicator reflects how each activity is performing yearto-date (YTD) and whether it is forecasted to meet budget/forecast for the year. Any activity that is not expected to meet budget will be discussed below.
LEGEND On Track with meeting budget or better than budget Caution with meeting budget Concern with meeting budget
Admin., Clubhouse & Other Operations Cash Flow *
* before working capital changes CAPITAL Capital Dues
Golf Course Equipment Lease
Sustaining Maintenance Capital Spend
Project Captial Spend Centennary, net
Capital Cash Flow
as of March 2022
Entrance Fee Receivable
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OPERATIONS RESULTS The Club’s operations cashflow before working capital movement shows a favourable variance of $14,000 YTD in relation to budget. As of Q2, management continues to forecast an operating breakeven by fiscal year end. i.
Food & Beverage (F&B) – Strong member food and liquor sales continued to offset a portion of the banquet shortfall ($50,000 YTD). Labour uncertainties are also being managed. With COVID restrictions now lifted, the outlook for rest of the year is relatively positive. The team expects to lessen the variance to budget by end of fiscal year.
Golf Course – Variance is solely related to timing of expenses. No concerns with meeting budget by end of fiscal year.
Admin – Additional talent acquisition and retention efforts were needed to support all departments amidst the increasingly challenging labour market.
Golf Operations – Strong retail sales helped offset the shortfalls in guest fees and cart rentals. The positive variance was a factor of labour shortages YTD, which is being improved through additional hiring efforts.
Clubhouse – Unbudgeted repair & maintenance (R&M) was needed as various components within the Clubhouse age and near end of useful life. The total YTD variance of $42,000 included unbudgeted one-time R&M for front entrance fire suppression system, amplifier failure, refrigeration evaporator leakage, mandated first-aid device replacement, and tool purchases for recurring repairs. Some supplies such as cleaning supplies and masks will be reduced from Q3 onward. Management expects an overage in R&M costs by end of fiscal year.
Member Dues - Positive variance of $38,000 YTD due to strong member uptake and contributions from eligible waitlist members.
All teams continue to manage the balance between labour shortages and overtime. Actions were also taken to mitigate the impact of supply chain disruption and pricing increases on the Club’s procurement. CAPITAL RESULTS The Club’s capital cashflow has been strong, driven by favourable entrance fees. The Club added 9 Full Play members and 7 Associates in Q2. The net entrance fee cashflow was $528,000 better than budget YTD. Cash received from new member entrance fees is 56% YTD. The current full member equivalent (FME) number is 861. The Club’s YTD capital expenditures totalled $453,000 in sustaining capital and $69,000 in improvement projects, marking approximately 50% of total approved annual capital spend. Any timing difference on capital expenditures will be caught up in the upcoming quarter. As planned, any excess capital cash will be applied towards bank loans in the latter half of the fiscal year. SUMMARY The Club’s financial position and cashflows are in good health.
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POINT GREY GOLF AND COUNTRY CLUB Cash Based Financial Summary (in 000's) Mar 2022
YTD Fav/(Unfav) vs Budget
Food and Beverage, net
Golf Operations, net
Administration and Clubhouse
Operations -before working capital
Operations - cash flow
Other (incl. CEWS, other revenue, property taxes)
Capital Dues Entrance Fees (net of bad debt and membership sales expenses) Golf Course Equipment Lease Capital Expenditures Sustaining Capital Capital Project Centennial expenses, net Bank Loan (net)
(453) (69) (392)
90 8 -
Capital - cash flow
Net cash flow (Operations and Capital)
Mar 2022 Actual 1,288 5,503 6,686
Fav/(Unfav) vs Budget 570 277
Key Balances Total Cash Bank Loan Entrance Fees Receivable (incl current portion)
Key Balances (PGSL) Total Cash Bank Debt
Point Grey Golf and Country Club and Point Grey Golf and Country Club Limited. Unaudited Condensed Financial Statements For Period Ended March 31, 2022 Combined Statement of Income YTD
Revenue Member dues
Food and beverage
Food and beverage
Total income(loss) before undernoted items
Amortization of operating assets
Golf course equipment lease
Total income(loss) before other revenues and expenses
Other revenues and expenses Entrance fees
Bank loan interest Membership sales expenses
Other income (loss), net
Amortization of long term assets Professional and consulting fees
Combined Balance Sheet Fiscal 2021 Year-end 2022-03-31
Other current assets
Housing loan Promissory Note Receivable
Members' & Shareholders' equity
Total Liabilities & Equity
Entrance fees receivable
GOLF OPERATIONS Below is an overview of the historical rounds of golf for the past quarter.
HISTORICAL ROUNDS OF GOLF FOR Q2 JAN
3 MONTH TOTAL
Respectfully, The Board and Adam Zubek, GM / COO
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